U/S TAUSCHER-ROSATOM DEP DIR SPASSKIY DECEMBER 7

C O N F I D E N T I A L MOSCOW 003012

SIPDIS

E.O. 12958: DECL: 12/14/2019
TAGS: KNNP PARM PREL RS IR
SUBJECT: U/S TAUSCHER-ROSATOM DEP DIR SPASSKIY DECEMBER 7
BILAT

Classified By: DCM Eric S. Rubin for reasons 1.4 (b) and (d)


1. (SBU) SUMMARY: In a December 7 discussion, RosAtom Deputy
Director Nikolay Spasskiy thanked Under Secretary Ellen
Tauscher for her sustained support for the Angarsk fuel bank
initiative, conveyed his thoughts for the way ahead on the
Tehran Research Reactor impasse, stated his desire to
re-address the 123 Agreement by Spring 2010, expressed
support for the upcoming Nuclear Security Summit, revealed
that he had initialed a Russian version of a 123 Agreement
with India on 7 Dec 09, and praised the recent U.S.-Russia
reset of relations in the nonproliferation sphere. The
overall tone of the meeting was productive and positive. END
SUMMARY.

Fuel Bank
--------------


2. (C) On December 7, Under Secretary Tauscher and DCM Eric
Rubin, accompanied by Senior Advisor James Timbie, DOE-Moscow
Deputy Director, and EST and political officers, met with
Rosatom Deputy Director Nikolay Spasskiy, who was joined by
Rosatom International Department Deputy Ubeev, and Rosatom
interlocutor Yuri Bussurin. Spasskiy began the meeting by
thanking U/S Tauscher for the strong support of the United
States in making Spasskiy's vision of an Angarsk fuel bank a
reality. Spasskiy mentioned that the fuel bank initiative
had been one of his pet projects since he first began working
at Rosatom three years ago. Spasskiy stated that the recent
IAEA approval of the Angarsk project was essential for Russia
but lamented that Russia had been stonewalled during several
previous attempts to bring the initiative to a successful
conclusion. He appreciated the crucial U.S. support in
Vienna and in capitals around the world. Spasskiy expressed
a desire to begin preparations for a signing ceremony for the
Angarsk project soon, and envisioned another signing of the
Plutonium Disposition Protocol perhaps sometime on the
margins of the Nuclear Security Summit in April 2010.
Spasskiy said Rosatom and the Russian MFA are completely in
sync on this matter. U/S Tauscher concluded that the recent
IAEA Board of Governors vote to adopt a resolution approving
the Angarsk fuel bank can NOW bring theory into reality.

Tehran Research Reactor
--------------


3. (C) U/S Tauscher expressed her appreciation for Spasskiy's
personal efforts in Vienna and stated that TRR is not
necessarily a dead issue, but one which might be resuscitated
with a spirit of cooperation. Spasskiy expressed agreement
with U/S Tauscher's assessment. He lauded the efforts and
preparation of DOE Deputy Secretary Poneman during the Vienna
negotiations and stated that our joint cooperative efforts
would continue. Spasskiy noted that the TRR plan offered
Iran a great opportunity and should have been accepted. Iran
now faces a Vienna resolution that sends a very tough message
that the status quo can not continue forever. While laying
the blame squarely on the Iranians for their "predictable but
atrocious" handling of the situation, Spasskiy said we need
to seek ways to revive the negotiation process because
threats of further sanctions will clearly not work now. He
recommended a two-phased approach to unfreeze the situation.
First, Russia is looking into the question of how quickly we
can deliver a small amount of finished fuel (e.g.,6
kilograms),and then explain how quickly we can deliver the
full 115 kilograms by a certain specified date. Spasskiy
emphasized that the full 1200 kilograms of LEU must be
removed from Iran to a third country such as Turkey, Armenia,
or Kazakhstan. Second, a multi-lateral team should be sent
to Iran to visit the TRR. Spasskiy added that it would be
difficult politically for the Iranians to deny the team site
access and concluded that the resulting report could be
useful politically and technically. U/S Tauscher responded
that it is worth our cooperative efforts to pursue the
implementation of the TRR proposal, while affirming that
United States would continue to call for the full 1200 kg to
be removed from Iran to a third country.


123 Agreement
--------------


4. (C) Spasskiy turned the discussion to the 123 Agreement by
asking why achieving congressional approval was such a
difficult task and stated that while he understood the 123 is
not on the top of the priority list, it should be on a short

list somewhere after resolution of the START follow-on
agreement. Sticking with the Rosatom party line, Spasskiy
told U/S Tauscher that the absence of a 123 Agreement is
becoming a problem because the agreement is perceived by some
as being a necessary framework agreement. Spasskiy then
revealed that, earlier on December 7, he and his Indian
counterpart had initialed the Russian version of a 123
Agreement with India. Spasskiy asked the U.S. to provide
Rosatom with an updated status assessment on the 123
Agreement prior to the April 2010 Nuclear Security Summit.
U/S Secretary Tauscher assured Spasskiy that the 123 remains
a priority, however it would take the political will of the
Congress for it to enter into force. U/S Tauscher mentioned
that the outcome on the 123 Agreement would depend on a
number of factors, including Iran.

60 Day Study
--------------


5. (SBU) Timbie opined that while a 123 Agreement is pending,
the U.S. still looks forward to continuing cooperation with
Russia on mutually beneficial civil nuclear activities, as
proposed in the 60-day study under the auspices of the
Nuclear Security and Nuclear Energy Working Group of the BPC.
U/S Tauscher and Timbie added that completion of the study
and launching of cooperation in the study's identified areas
will help build the case for successful congressional review
of the 123. Spasskiy concurred that the 60-day study could
be a useful vehicle. Spasskiy said that, regarding
consolidation and conversion, the Rosatom proposal to focus
on third countries is on the right track if handled
correctly. Spasskiy asked U/S Tauscher to provide him with a
clear understanding of Global Nuclear Energy Partnership's
future. While he had discussed the issue with DOE deputy
secretary Poneman, Spasskiy still wanted to obtain DOE's
policy prior the April Nuclear Security Summit. U/S Tauscher
told Spasskiy that she would forward his request.

Nuclear Security Summit
--------------


6. (SBU) Spasskiy gave his support for the Nuclear Security
Summit saying that he was satisfied that the scenario was
taking shape. He praised the efforts of Gary Samore and
Laura Holgate to plan the Summit and expressed a desire to
agree on an agenda as quickly as possible. Spasskiy declared
that the Summit should be framed as very formal event, not
simply a seminar or a conference, in order to achieve the
desired results. Spasskiy then reiterated his desire to
obtain a firm Summit agenda by January 2010. U/S Tauscher
assured Spasskiy that she would pass this request on to Mr.
Samore.


7. (C) Timbie reminded Spasskiy that the FBI Director had
delivered during his recent visit to Moscow the sample
requested by Russia. The extra effort to respond to the
Russain request demostrated, Timbie said, our commitment to
cooperation on nuclear security. Timbie said the U.S. would
appreciate a report from Russia after analysis of the sample.
Spasskiy responded that the U.S. will receive a report next
year after the sample has been analyzed.


8. (U) Under Secretary Tauscher's office cleared this cable.
Beyrle